Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.23.2
Leases
6 Months Ended
Jun. 30, 2023
Leases [Abstract]  
Leases
Note 11 – Leases
Lessor
As of June 30, 2023, the Company’s operating leases have non-cancelable lease terms ranging from 0.1 years to 15.9 years. Certain leases with tenants include tenant options to extend or terminate the lease agreements or to purchase the underlying assets. Lease agreements may also contain rent increases that are based on an index or rate (e.g., the consumer price index).
The following table presents future minimum base rent payments due to the Company over the next five years and thereafter as of June 30, 2023 (in thousands).
Future Minimum
Base Rent Payments
July 1, 2023 - December 31, 2023
$ 65,068 
2024 112,682 
2025 75,683 
2026 72,381 
2027 51,814 
2028 40,104 
Thereafter 158,714 
Total $ 576,446 
Lessee
The Company is the lessee under ground lease arrangements and corporate office leases, which meet the criteria under U.S. GAAP for an operating lease. As of June 30, 2023, the Company’s operating leases had remaining lease terms ranging from 0.4 years to 61.5 years, which includes options to extend. Under the operating leases, the Company pays rent and may also pay variable costs, including property operating expenses and common area maintenance. The weighted-average discount rate used to measure the lease liability for the Company’s operating leases was 3.51% as of June 30, 2023. As the Company’s leases do not provide an implicit rate, the Company used an estimated incremental borrowing rate based on the information available at the lease commencement date or the lease guidance adoption date, as applicable, in determining the present value of lease payments.
Operating lease costs were $0.3 million and $0.6 million for the three and six months ended June 30, 2023, respectively, and $0.3 million and $0.5 million for the three and six months ended June 30, 2022, respectively. No cash paid for operating lease liabilities was capitalized for the three and six months ended June 30, 2023 and 2022.
The following table reflects the maturity analysis of payments due from the Company over the next five years and thereafter for ground and corporate office lease obligations as of June 30, 2023 (in thousands).
Future Minimum Lease Payments
July 1, 2023 - December 31, 2023
$ 585 
2024 883 
2025 892 
2026 478 
2027 445 
2028 447 
Thereafter 12,492 
Total 16,222 
Less: imputed interest 5,891 
Total $ 10,331 
Leases
Note 11 – Leases
Lessor
As of June 30, 2023, the Company’s operating leases have non-cancelable lease terms ranging from 0.1 years to 15.9 years. Certain leases with tenants include tenant options to extend or terminate the lease agreements or to purchase the underlying assets. Lease agreements may also contain rent increases that are based on an index or rate (e.g., the consumer price index).
The following table presents future minimum base rent payments due to the Company over the next five years and thereafter as of June 30, 2023 (in thousands).
Future Minimum
Base Rent Payments
July 1, 2023 - December 31, 2023
$ 65,068 
2024 112,682 
2025 75,683 
2026 72,381 
2027 51,814 
2028 40,104 
Thereafter 158,714 
Total $ 576,446 
Lessee
The Company is the lessee under ground lease arrangements and corporate office leases, which meet the criteria under U.S. GAAP for an operating lease. As of June 30, 2023, the Company’s operating leases had remaining lease terms ranging from 0.4 years to 61.5 years, which includes options to extend. Under the operating leases, the Company pays rent and may also pay variable costs, including property operating expenses and common area maintenance. The weighted-average discount rate used to measure the lease liability for the Company’s operating leases was 3.51% as of June 30, 2023. As the Company’s leases do not provide an implicit rate, the Company used an estimated incremental borrowing rate based on the information available at the lease commencement date or the lease guidance adoption date, as applicable, in determining the present value of lease payments.
Operating lease costs were $0.3 million and $0.6 million for the three and six months ended June 30, 2023, respectively, and $0.3 million and $0.5 million for the three and six months ended June 30, 2022, respectively. No cash paid for operating lease liabilities was capitalized for the three and six months ended June 30, 2023 and 2022.
The following table reflects the maturity analysis of payments due from the Company over the next five years and thereafter for ground and corporate office lease obligations as of June 30, 2023 (in thousands).
Future Minimum Lease Payments
July 1, 2023 - December 31, 2023
$ 585 
2024 883 
2025 892 
2026 478 
2027 445 
2028 447 
Thereafter 12,492 
Total 16,222 
Less: imputed interest 5,891 
Total $ 10,331